Province Resources (ASX:PRL) shares boom on proposed acquisition

• Province Resources (PRL) shares are soaring after the company revealed plans to make a multi-project, multi-commodity acquisition
• PRL has signed a conditional agreement to acquire all shares in Ozexco which holds seven exploration licence applications in WA’s Gascoyne region
• Some of the tenements are considered prospective for salt, potash and mineral sands while others could become home to a renewable green hydrogen project
• The acquisition is subject to PRL shareholder approval and, if it’s given the green light, PRL will issue vendors $750,000 worth of shares, 50 million performance shares and reimburse $80,000 spent on the projects to date
• Additionally, PRL has received firm commitments to raise $1.35 million via a placement at 1.5 cents per share, with board members committing $250,000 which is also subject to shareholders approval
• PRL shares jumped 262 per cent and been trading at 9.4 cents

Province Resources (PRL) has locked in commitments to raise $1.35 million as it looks to make a multi-project and multi-commodity acquisition.

The company has signed a conditional agreement to acquire all shares in Ozexco which holds seven exploration licence applications in WA’s Gascoyne region.

The tenements are considered prospective for salt, potash and mineral sands and potentially suitable for a renewable green hydrogen project.

Chairman David Frances has been appointed to the role of Managing Director and he said the potential HyEnergy Project would allow the company to contribute to the decarbonisation of the global economy.

“This is the other side of the decarbonisation coin – while some environmentally conscious companies are addressing the electrification of transport and storage of renewable energy, Province is aiming to address the decarbonisation of heavy transport and industry through the production of zero-carbon hydrogen products.”

The HyEnergy Project, a potential Renewable Green Hydrogen Project, could benefit from state and federal government funding designed to support the emerging green hydrogen industry.

Western Australia’s hydrogen strategy supports a goal of achieving a 10 per cent mix of renewable hydrogen in the Dampier Bunbury Natural Gas Pipeline by 2030.

The acquisition of Ozexco is subject to PRL shareholder approval at a general meeting.

The terms of the proposed acquisition include consideration of $750,000 worth of shares, 50 million performance shares in three tranches and the reimbursement of $80,000 spent by the vendors on the projects to date.

Additionally, Province Resources has received firm commitments to raise $1.35 million via a placement at 1.5 cents per share.

Directors have committed to investing $250,000, however, this portion of the placement is subject to shareholder approval.

PRL shares jumped 262 per cent and been trading at 9.4 cents at 2:08 pm AEDT.